أثر هيكل التجارة الخارجية على تكوين رأس المال في الأردن

Abstract EN

This study aimed to investigate the impact of foreign trade structure on capital formation in Jordan during the time period (1985-2017).

The study model was estimated by using Fully Modified Least Squares methodology (FM-OLS).

The results showed that there is a positive statistically significant impact for both export and import of capital goods on capital formation in Jordan, and a negatively statistically significant impact for imports of consumption goods on capital formation in Jordan.

The study recommended promoting the sector of export and import of capital goods due to its positive impact on capital formation in Jordan, as well as working as much as possible to substitute imports of consumption goods with local production.

Keywords: Foreign Trade Structure, Capital formation, Fully Modified Least Squares (FM-OLS).